Optimal Technology Selection and Operation of Commercial-Building Microgrids

TitleOptimal Technology Selection and Operation of Commercial-Building Microgrids
Publication TypeJournal Article
Year of Publication2008
AuthorsChris Marnay, Giri Venkataramanan, Michael Stadler, Afzal S Siddiqui, Ryan M Firestone, Bala Chandran
JournalIEEE Transactions on Power Systems
Date Published08/2008
Keywordsbuilding management systems, buildings, cogeneration, cooling, cost optimal control, dispersed storage and generation, distributed control, optimization methods, power system economics, power system planning

The deployment of small ( < 1-2 MW ) clusters of generators, heat and electrical storage, efficiency investments, and combined heat and power (CHP) applications (particularly involving heat-activated cooling) in commercial buildings promises significant benefits but poses many technical and financial challenges, both in system choice and its operation; if successful, such systems may be precursors to widespread microgrid deployment. The presented optimization approach to choosing such systems and their operating schedules uses Berkeley Lab's Distributed Energy Resources Customer Adoption Model (DER-CAM), extended to incorporate electrical and thermal storage options. DER-CAM chooses annual energy bill minimizing systems in a fully technology-neutral manner. An illustrative example for a hypothetical San Francisco hotel is reported. The chosen system includes one large reciprocating engine and an absorption chiller providing an estimated 11% cost savings and 8% carbon emission reductions under idealized circumstances.